Dec
29
When purchasing a home using the VA home loan, does the property have to be the veterans primary residence?
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Question by sugadoot: When purchasing a home using the VA home loan, does the property have to be the veterans primary residence?
My husband and I purchased our first home enduring year using his VA home loan and now we may have to relocate to another state for work. We do not intending on selling the house but instead meaning on renting it out. Will that forfeit the VA home loan and will we have to change our loan terms?
Best answer:
Answer by Meggerz
Yes, it does have to be a persons main residence for a minimum of 2 years.It’s a situation where unless the finance company finds out about it, they can force you pay in full the loan make. People try to get around it, but once they find break, the VA *will* pull their backing of the loan. It happened to someone at my conserved’s NOSC – they relocated due to PCS and it was less than 2 years and were forced to refinance.You also wont be able to get another VA loan until this one is paid off.Response: The VA loan backing is one aspect of it. Your mortgage company may have rules about how yearn you have to hold it as your primary residence. You signed those agreements. Read them, or have a lawyer stare them over to make sure. Some companies are understanding of active duty military, some aren’t.
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Dec
21
Question by Artist at Heart: How do you get the best mortgage deal?
We have been pre-approved by a mortgage company. The mortgage company has recommended a real estate agent. I am a little leary of going with this real estate agent, however, because, being a first time home buyer, I need a lot of guidance. I am afraid that, being tied to the mortgage broker, the real estate agent might not fight to get us the best mortgage deal (if it happens to be with a company other than the original mortgage broker’s).How do you go about getting a good mortgage deal?
Best answer:
Answer by Steve D
first of all, the real estate agent is not there to get you a deal on a mortgage – that is either your responsibility or the mortgage broker’s responsibility. The agent is there to put you in a house (exhibit you house, explain the offer/acceptance routine, be there at closing and walk you through the purchase process).If you do not trust you bond broker to get you a fair deal, then you can start calling around to banks in your area and inquire about their rates. This means, however, getting a new pre-approval and starting from scratch on the mortgage. Being a first-time buyer, if you go this dispatching, you are going to have to educate yourself regarding rates and points and buy-downs.
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Dec
17
How does mortgage interest work when dealing with tax returns?
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Question by : How does mortgage interest work when dealing with tax returns?
How does a mortgage work when dealing with tax returns?Do we get back all the interest that we pay off or a certain percentage? Please provide backup in your answer.
Best answer:
Answer by Yirmiyahu
http://www.irs.gov/formspubs/article/,,id=242605,00.htmlFully deductible interest. In most cases, you can deduct all of your home mortgage interest. How much you can deduct depends on the date of the mortgage, the amount of the mortgage, and how you use the mortgage proceeds. If all of your mortgages fit into one or more of the following three categories at all times during the year, you can deduct all of the interest on those mortgages. (If any one mortgage fits into more than one category, add the debt that fits in each category to your other debt in the same category.) If one or more of your mortgages does not fit into any of these categories, use Part II of this publication to figure the amount of interest you can deduct. The three categories are as follows. Mortgages you took out on or before October 13, 1987 (called grandfathered debt).Mortgages you took out after October 13, 1987, to buy, make, or improve your home (called home acquisition debt), but only if throughout 2010 these mortgages plus any grandfathered debt totaled $ 1 million or less ($ 500,000 or less if married filing separately). Mortgages you took out after October 13, 1987, other than to buy, build, or improve your home (called home equity debt), but only if throughout 2010 these mortgaged totaled $ 100,000 or less ($ 50,000 or less if marrying filing separately) and totaled no more than the fair market value of your home reduced by (1) and (2). The dollar limits for the second and third categories apply to the combined mortgages on your main home and second home
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Dec
13
How does a fixed mortgage work with property taxes increasing?
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Question by chica24: How does a fixed mortgage work with property taxes increasing?
Does your monthly mortgage range stay the same over the years while tax holding increasing? Or does it still increase your monthly mortgage payment and end up being risky with how high it tin become?Thanks!
Best answer:
Answer by Judy
Your interest % stays the same for the length of the mortgage. If property taxes go up though, the escrow portion of your payment goes up.
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Dec
9
Question by Annie: How close to good faith estimate will my home loan be?
I’m just about to sign on my first home loan but want to know how close to good faith estimate will my loan be? I don’t want to pay much more than what I was quoted. The loan agent at the mortgage accompanied (referred by builder) has told me that the good faith estimate is a breakdown of what I tin expect but he estimates it will be a bit lower. I don’t want to lose my earnest money and money for upgrades if at closing it looks wrong.
Best answer:
Answer by packinrat
If they can not tell you what your closing costs or payment is going to be do not sign.If you are not getting a FHA first time home buyer rate of 5.25% no closing costs and 105% LTV lending, you are getting eff.Buiders refer to make money.There should be a similar program in your State.****************8These programs will not let them create all those fees at closing and require much less down But, there isn’t anything in there to kick back to the builder****************8The Texas First Time Homebuyer Program provides below market interest rate mortgage loans through a network of active lenders to eligible families and individuals who are purchasing their first home or who have not owned a home in the past three years. Two types of loans are available under this program. A “Unassisted Rate” loan typically offers our lowest interest rate available and does not provide funds for down payment and closing cost assistance. For borrowers needing assistance with their down payment, a “Assisted Rate” loan is offered to income-eligible borrowers that provides grant funds up to 5% of the mortgage amount. These loans are offered at a slightly higher interest rate. We also offer a Mortgage Credit Certificate program that increases a family’s disposable income by reducing its federal income tax obligation. The tax credit is valid for the life of the loan as long as the borrower occupies the property as their primary residence.
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Dec
5
Can anyone help me regarding home loan interest and tax write off?
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Question by stephren88: Can anyone help me regarding home loan interest and tax write off?
My ex-wife got our home in our divorce settlement. The home loan is in my name only. Can she write off the interest of the loan on her taxes? Or can I?
Best answer:
Answer by Sharon T
If she pays the mortgage, she may deduct the interest. It would be outdo for her to assume the bond if she can qualify to do so. They may release you from it, which would free up your credit for other purposes.
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